WS #15714
Holding: newest synthesis is 4d 21h old
Delta Air Lines has lowered its full-year profit forecast to $5.10-$5.60 per share, citing jet fuel costs that have surged 60% year-over-year to $3.61 per gallon. Despite a 16% revenue growth from strong demand, the input cost inflation is eroding margins. This development reinforces the bearish outlook for the airline sector in an environment of elevated energy prices.
Airline Margin Compression
Delta Air Lines has lowered its full-year profit forecast to $5.10-$5.60 per share, citing jet fuel costs that have surged 60% year-over-year to $3.61 per gallon. Despite a 16% revenue growth from strong demand, the input cost inflation is eroding margins. This development reinforces the bearish outlook for the airline sector in an environment of elevated energy prices.